Winter blackout risk shows natural gas "vital"
This morning’s warning from Transpower that there was insufficient electricity being generated to meet demand shows the importance of natural gas in New Zealand’s energy mix, says Energy Resources Aotearoa.
Energy Resources Aotearoa Chief Executive John Carnegie says:
"In the cold winter months, it is vital that we have a diverse energy mix to keep Kiwis warm and ensure businesses can stay open. We cannot rely on hydro and wind alone. There will be cold, dry, and low-wind winters where we need secure supplies of natural gas."
Carnegie says that investor confidence is critical to ensure delivery of the capital investment needed to underpin supply, keep the lights on, and help smooth the transition to low emissions. Co-regulatory body, the Gas Industry Company, echoed this point in their recent report to the Minister of Energy and Resources on Gas Market Settings.
"Words matter. Every time critics talk down the role of natural gas, they are narrowing New Zealand’s energy mix and increasing the likelihood of blackouts.
"To ensure the integrity of New Zealand’s electricity grid and our security of supply, we urge the Government to take an agnostic approach to the fuels we use to keep Kiwis’ lights and heaters on."